Choose the Statement That Is Incorrect

question 6

Multiple Choice

Choose the statement that is incorrect.

• A)The Bank of Canada's choice of policy instrument is the overnight loans rate.
• B)When the Bank of Canada wants to slow inflation, it raises the overnight loans rate.
• C)The Bank has established 12 fixed dates each year on which it announces its overnight rate target for the coming period.
• D)Recently, the overnight loans rate has been at historically low levels because the Bank is leaning in the direction of avoiding recession.
• E)The overnight rate was a bit more than 8 percent a year in 1995.

Identify different securities and their backing assets.

Recognize the tax implications of various bond types.

Understand the concept of credit ratings and their impact on bond classifications.

Grasp the functioning of the stock market and its components.

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Definitions:

Moist

Slightly wet or damp, often used to describe environments or surfaces.

Choking

The blockage of the airway by a foreign object, leading to a severe reduction in breathing or inability to breathe.

Blockage

The obstruction of passage through something, such as a pipe or a blood vessel.

Vital Capacity

Maximum amount of air moved in and out of lungs with forced inhalation and exhalation.